MY personal opinion; This company is selling majority third party product and services, and rely on their revenue from franchise business model. They can survive due to support given by brand owner, but this is not a rocket science business. This is easy entry business, and if any newcomer can offer more value to brand owner, they also can challenge Senheng. Most of the brand owner prefer to go direct to end consumer now, via commerce platform and no need to rely on retailer or distributors. There's nothing to shout on 100+ outlets, in fact that is the risk and many retailer is closing down due to cost and etc. I don't see anything that can convince me to buy this share. just my 2 cents.
Stock: [SENHENG]: SENHENG NEW RETAIL BERHAD
2022-01-26 12:39 | Report Abuse
MY personal opinion; This company is selling majority third party product and services, and rely on their revenue from franchise business model. They can survive due to support given by brand owner, but this is not a rocket science business. This is easy entry business, and if any newcomer can offer more value to brand owner, they also can challenge Senheng. Most of the brand owner prefer to go direct to end consumer now, via commerce platform and no need to rely on retailer or distributors. There's nothing to shout on 100+ outlets, in fact that is the risk and many retailer is closing down due to cost and etc. I don't see anything that can convince me to buy this share. just my 2 cents.